Opportunities abound for credit unions to carve out a presence in the digital lending space. This can be in the form of protecting the $351 billion in current credit union consumer loans or capturing some of the estimated $1 trillion in loans positioned for digital lenders. Before attempting that long-shot towards the goal post, credit unions can benefit with a strategy, especially one that leverages their unique strengths as they navigate the transition to digital lending. The digital lending playbook provides insights for credit unions on their path to digital lending.
In an already bustling lending marketplace, the emergence of digital lenders has introduced new competitive factors (namely loans-on-the-go with faster approval times) that place greater pressure on credit unions to keep up with consumer expectations and market trends.
Rather than a one-size-fits-all digital lending strategy that requires credit unions to invest heavily to compete digitally head-to-head, credit unions should consider a digital playbook that taps into their current strengths while addressing their weaknesses.
Identifying five key digital “plays” that address the credit union’s digital mindset and organizational priorities. Understanding the role of human touch, and the importance of systems integration. From there a useful guide can be developed to more astutely navigate the digital realm.